Hongteng (7751-TW) is benefiting from the upcoming volume production of NVIDIA's (NVDA-US) next-generation AI chip Rubin, along with sustained demand growth in the CoWoS backend manufacturing process, resulting in order visibility extending into next year. To resolve concerns over insufficient capacity, the company has leased a new factory, scheduled to join operations from August, doubling its overall assembly space and further heating up its second-half business performance.
Hongteng supplies vapor chamber equipment for NVIDIA's next-generation chips, entering the oS segment of packaging and testing facilities, covering processes such as dispensing, die attach, bonding, and heat spreader lamination. In addition to graphene materials, the technology can also be applied to indium sheets. Meanwhile, the company continues to deliver its automated optical inspection (AOI) equipment to major OSATs.
Driven by the trend toward large-scale advanced packaging, Hongteng achieved revenue of NT$1.35 billion in the first half of this year, a 68% year-on-year increase. Order intake during the same period has doubled, with second-half demand expected to be even stronger than the first half, driving sequential quarterly revenue growth and record highs. Analysts estimate that Hongteng's revenue this year will at least double compared to last year.
Moreover, in response to the rapid influx of equipment orders and tight component and machining capacity, Hongteng has urgently leased additional factory space to expand production. Equipment assembly is set to begin in August, doubling the current operational space and alleviating short-term capacity bottlenecks.
For medium- to long-term expansion, Hongteng has joined the AI Advanced Testing Hub led by ASE, planning to build a new factory in Renwu, Kaohsiung. The new capacity is expected to come online by the end of next year, potentially doubling the company's overall production capacity from current levels.
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- Source: PR Times
- Category: News